The statute of restrictions is a defense that is affirmative it doesn’t immediately use or avoid loan companies from wanting to collect overdue debts. Its raised in court procedures that will stop your debt collection lawsuit in the event that court determines that the timeframe as soon as the financial obligation collector is permitted to register case against you has passed away. Then, the court will dismiss the instance against you. You must raise the statute of limitations defense when you file your answer if you are sued for a delinquent debt, and believe the statute of limitations might prevent the collection agency from suing to collect that debt. Since it is an affirmative protection, neglecting to raise it correctly might lead to one to lose its defenses.

Can debt collectors attempt to collect a debt that is time-barred?

In the event that collection agency is certainly not suing you but is just trying to gather a financial obligation banned because of the statute of restrictions, things have more cloudy.